The net widens

Zhao Juntao, senior vice-president with government & public affairs of Ericsson (China) Communications Company Ltd, distributes books and stationery to Meizhou children.

Seventy-five-year-old pig farmer Zeng Dexin surfs the Internet daily for agricultural information and uses a mobile phone to bargain with material suppliers and dealers.

"I bet on the pork market and turned the great part of efforts to breeding last year based on Internet news and analysis of the coming national pork shortage, which helped me earn 100,000 yuan," he says with pride. The average net income of his fellow villagers is around 10,000 yuan.

At Meizhou, around five-hour drive distance from Guangzhou, in northeast Guangdong province a group of farmers like Zeng began online surfing just two years ago, thanks to a telecommunications promotion program sponsored by Ericsson and CMGC.

In November of 2005, the Swedish-based telecommunications giant signed a contract with CMGC and the local government to build a telecommunications network in the mountainous area. Ericsson promised to invest equipment worth 10 million yuan and CMG Company contributed network construction, optimization and maintenance equipment and services worth 10 million yuan.

The program is aimed at not only helping rural residents enjoy hi-tech communications but also improving the local government's administrative efficiency and abilities.

It covers information and donations to build computerized classrooms in primary and middle schools, an integrated reservoir and water resources information system, a government video conferencing system, as well as improved hi-tech communications for the local police.

As for Zeng, he still remembers the days when he had to travel outside the mountains to find new breeds, feeds and seeds and transport them back to sell with no real idea of a fair price.

"Now, I can stay at home to order materials with competitive prices and ask the supplier to deliver the stuff to my home. On the other hand, I know the market well and can sell my products at satisfactory prices," Zeng stresses.

Sustainable development

Meizhou covers 158,000 square kilometers and has population of 4.97 million, 75 percent of which is engaged in farming and livestock husbandry.

After more than two years' development Ericsson's charity program, wire and wireless communication network has expanded to more than 1,000 small villages linked farmers with the Internet as well as governmental departments, agricultural enterprises institutions and consumers.

Zhao Juntao, senior vice-president with government & public affairs of Ericsson (China) Communications Company Ltd, attributes the two-year program's success to a "Public-Private Partnership" model initiated by Ericsson, for which the firm implements its corporate social responsibility strategy.

The model uses a combination of the strength and guidance of government administrative departments or public organizations and the knowledge and financial capabilities of businesses to meet the local demands more closely and practically.

"That is to sustain the program even without further corporate donations," says Zhao, citing Meizhou as an example.

The Meizhou government has selected the right focus - using the Internet and mobile communications to help farmers reduce farming or breeding costs and getting realistic market pricing information - at the right time, when increasing rural incomes has become a top priority of the central government.

And it has inspired grass-roots village committees to offer support and ensure the program reaches remote areas smoothly.

"We built the infrastructure and paid a two year service fee for local farmers," says Zhao. "Our efforts make them taste the sweet and get real benefits. Then without our money, they are willing to pay for the service, which leads to a smooth transition from a charity program to market-orientation operation."

Beginning this year, all the farmers enjoying the telecommunication services have to pay the bill themselves.

"Of course, I will pay for it," says farmer Zeng, adding that the charge, 298 yuan for 200 hours a year, is affordable and the cost is minimal compared with its benefits .

According to the information technology department of Meizhou, the fee is affordable and also guarantees a profit for the service provider.

Meizhou's Zheng adds that the government can work as a platform for both local people and the philanthropic enterprises.

"It (the corporate donation) eases our fiscal burden and introduces new technologies, which is really helpful, " says the vice-governor.

Zhao says Ericsson is also promoting a three-year deal with the United Nations Development Program (UNDP).

The two sides signed a memorandum of understanding in March to jointly explore ways for mobile telephony and networks to improve access to health, government, education and financial services.

Guided by China's national development priorities, Ericsson and UNDP will identify promising ways to use mobile technology to achieve social aims and develop pilot projects in rural areas.

"This model is to be our focus in the coming years," Zhao says.

(China Daily 05/03/2008 page8)